11% Increase in Minimum Wage for Private Sector Employees

The Minister of Social Affairs, Ahmed Ammar Youmbai, announced on Sunday, June 1, 2014, an 11% increase, effective May 1, 2014, in the guaranteed minimum wage for 900,000 private sector employees, including 280,000 workers and 613,000 retirees.

Speaking at a press conference held at the ministry's headquarters, Youmbai specified that the amount of the increase in the guaranteed minimum wage for all professions (48-hour regime) is 18,096 dinars.

The minimum wage, which was 301,801 dinars, will be raised to 319,904 dinars. For the 40-hour regime, the increase, which will also benefit all professions, is 15,080 dinars, bringing the wage to 274,559 dinars compared to 259,479 dinars currently.

The transportation allowance has also been increased by ten dinars per month (26,112 dinars instead of 16,112 dinars) for workers paid the minimum wage in various non-agricultural activities governed by the labor code.

Youmbai announced that following these increases, private sector workers paid the minimum wage (48-hour regime) will all receive a monthly salary of 348,096 dinars, calculated as follows: 319 dinars 904 millimes for the minimum wage, 26 dinars 112 millimes for the transportation allowance, and 2 dinars 080 millimes for the attendance bonus.

The minister also announced that employees will benefit from a net increase ranging from 4 to 8 dinars per month since their annual salary is tax-exempt given that it is less than five thousand dinars.

Therefore, he said, employees paid the minimum wage will benefit from a salary increase of 32 to 36 dinars per month.

Regarding the guaranteed minimum agricultural wage (SMAG), the increase will be made, according to the minister, according to the category of workers (ordinary, specialized, or qualified).

For ordinary workers, the increase is 696 millimes per day, bringing their daily wage to 12 dinars 304 millimes instead of 11 dinars 608 millimes.

Specialized agricultural workers will benefit from an increase of 733 millimes per day, allowing them to receive 12 dinars 960 millimes per day instead of 12 dinars 227 millimes. For qualified agricultural workers, the increase is 766 millimes per day, thus bringing their daily wage to 13 dinars 537 millimes compared to 12 dinars 771 millimes currently.

Webmanagercenter.com

Published June 2, 2014.

Posted online June 9, 2014.